L.A. mayor warns businesses of tough times ahead

WOODLAND HILLS - Pledging to continue his efforts to help business even in the perilous economic times, Mayor Antonio Villaraigosa on Tuesday warned business leaders the city is in for continued hard times.

Villaraigosa, speaking to about 500 members of the United Chambers of Commerce at their annual mayor's luncheon at the Warner Center Marriott, said he will resist efforts to raise the business tax - which has been reduced to 15 percent under his administration - even with the city expected to face a shortfall from $250 million to $400 million this coming year.

And he said he will not push for any new taxes or fees in the coming city budget, which promises to lead to cuts in services.

"We have raised the trash fee as much as we can and this is not the time to seek any other increases," Villaraigosa said.

The mayor was not specific on where cuts would come other than saying he remained committed to his goal to expand the Los Angeles Police Department to 10,000 officers by 2010. "The only way we will continue to attract business and investment is if we are a safe city," he said.

The mayor also said he will continue to support four projects in the San Fernando Valley that have generated controversy - the Universal City expansion, the NoHo Commons, the Westfield shopping center and the Costco project in Pacoima.

The mayor also used the appearance as a way to make an appeal for Measure R, the half-percent sales-tax increase on the Nov. 4 ballot for transportation projects.